The Virgin Megastore chain has announced more store closings.

Their New York Times Square location, which is being closed in April, was the highest volume music store in the United States. In 2007, the Virgin Megastore group had 11 stores. By the end of May, two more stores will be closed. The Union Square store in New York City and the Market Street store in San Francisco will both close this spring, according to Billboard. Three other Virgin Megastore chain stores, in Denver, Los Angeles, and Orlando, are in danger of closing. Brick-and-mortar music stores are rapidly becoming a thing of the past.

Despite all the controversy over file sharing and digital downloads, people still buy CDs, although sales volume has declined somewhat. Last year CD sales were $7.4 billion in the United States alone. Many of the purchases are made from large stores such as Walmart and BestBuy. However, floor space allocated to music appears to be diminishing, according to music news. Other people order from online retailers. Even so, Virgin Megastore Times Square location was quite profitable. It made six million dollars last year. The decision to close the store was based on real estate. Other rental tenants could make even more money than the music store. Apparently, businesses think that CD sales are dying and so they are looking elsewhere for profits.

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